The rupee appreciated 21 paise to 90.73 against the US dollar in early trade on Monday, supported by a sharp decline in global crude oil prices and a weaker greenback amid renewed uncertainty over US President Donald Trump’s proposal to raise tariffs to 15%. 

At the interbank foreign exchange market, the local unit opened at 90.76 against the dollar and strengthened further to 90.73, up 21 paise from its previous close. On Friday, the rupee had depreciated 26 paise to settle at 90.94. 

Brent crude declines 1.09% 

Brent crude, the global oil benchmark, declined 1.09% to $70.98 per barrel, offering support to the domestic currency. 

The dollar index, which measures the greenback’s strength against a basket of six currencies, was down 0.33% at 97.47. 

Forex traders said a strong opening in domestic equity markets and a surge in India’s foreign exchange reserves also boosted sentiment. 

Forex reserves jump $8.663 billion 

According to data released by the Reserve Bank of India on Friday, the country’s forex reserves jumped $8.663 billion to touch a record high of $725.727 billion in the week ended February 13. 

Equity benchmarks opened on a firm note, tracking gains in Asian markets and strong buying in banking and services stocks.  

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BSE Sensex up in early trade 

The 30-share BSE Sensex rose 621.78 points to 83,436.49 in early trade while the broader Nifty 50 advanced 180.05 points to 25,751.30. In another update, the Sensex was quoted 572.10 points, or 0.69%, higher at 83,386.81, while the Nifty gained 190.65 points, or 0.75%, to 25,761.90. 

Among Sensex constituents, Adani Ports, Axis Bank, Kotak Mahindra Bank, HDFC Bank, Hindustan Unilever, Mahindra & Mahindra, ICICI Bank, Reliance Industries, State Bank of India and PowerGrid were the major gainers. 

On the institutional front, foreign institutional investors (FIIs) offloaded equities worth ₹934.61 crore on Friday, according to exchange data. 

Analysts said global sentiment remained volatile after the US Supreme Court struck down the Trump-era tariffs, terming them “illegal”, a move that could significantly reshape global trade dynamics.